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Amazon’s Holiday Blues Come Early—and Hard
  + stars: | 2022-10-28 | by ( Dan Gallagher | ) www.wsj.com   time to read: 1 min
Even the One Ring seems to have its limits. Amazon became the latest tech giant to disappoint Wall Street on Thursday—and to pay a heavy price for doing so. The company’s third-quarter results included revenue that was slightly below analysts’ estimates and another sharp drop in operating income—the latter down 48% year-over-year. Adding insult to injury, growth in the company’s subscription service revenue fell into single-digit territory for the first time ever, despite the debut of its costly “Lord of the Rings” series for subscribers of its Prime streaming service.
Amazon 's dismal fourth-quarter forecast means consumer spending is slowing and the long-feared recession that has been weighing on investor sentiment is underway, according to Bank of America. "Outlook for less q/q revenue growth than 2021 suggests consumer recession is already here," wrote analyst Justin Post in a note to clients Friday. The company said Thursday it anticipates fourth-quarter revenue will be between $140 billion and $148 billion, while analysts surveyed by Refinitiv had expected sales of $155.15 billion. That forecast also signals the company's lowest quarter-over-quarter revenue growth on record, according to Post. Even during the 2008 recession, the technology behemoth saw fourth-quarter sales grow 57% sequentially, he said.
CNN —Amazon (AMZN) stock fell nearly 20% in after-hours trading Thursday after the company forecast its holiday quarter sales would be lighter than analysts had expected. The weaker forecast comes as rising inflation and looming recession fears weigh on consumer purchasing decisions. Amazon reported revenue of $127.1 billion for its third-quarter, a 15% increase from the prior year but just missing Wall Street estimates. The company reported its Amazon Web Services segment sales increased 27% year-over-year to $20.5 billion – representing a slower pace of growth for a closely-watched business unit than Wall Street had expected. Amazon initially saw its business boom during the pandemic, as more consumers relied on online shopping.
Revenue for the business that delivers goods in the mail jumped to $107 billion, a 13% increase from a year earlier. Amazon said fourth-quarter operating income could be as low as zero along with net sales projections that fell below what analysts were expecting, according to estimates gathered by Refinitiv. Unlike Meta, Amazon is a victim of wider trends, including angst over the technology sector. Amazon Web Services, the data storage business, increased sales 28% from a year earlier to $20.5 billion, also short of Wall Street’s expectations. For the fourth quarter, Amazon said it expects net sales to be between $140 billion and $148 billion, up 2% to 8% from the fourth quarter in 2021.
Amazon.com Inc. said Tuesday that it is adding Venmo as a new payment option for its customers ahead of Black Friday and the holiday season. The e-commerce company said the partnership with the payments app owned by PayPal Holdings Inc. would allow users to use this option when they check out for orders placed on Amazon.com and Amazon’s mobile app.
Skin refresherPeople with skin that is easily irritated swear by this skin care brand. Not only does it come in a cool pump-lid jar, but it’s also $10 off for the Amazon sale. It’s rarely less than $13, so the Beauty Haul price is a good one. The sale price is the lowest we’ve seen too. This mattifying tool from a go-to beauty brand gets rid of the shine on your T-Zone.
Warehouse supply remains tight compared with demand, but Prologis will make decisions on new sites on a “deal by deal” basis, he added. Prologis trimmed its plans for new development starts for this year to a range of $4.2 billion to $4.6 billion, from a projected range of $4.2 billion to $5 billion the prior quarter. Companies signed new leases for about 920 million square feet of warehouse space in 2021 compared with 619 million square feet in 2019, according to Cushman & Wakefield. Mr. Moghadam said Amazon hasn’t pulled out of any of its Prologis buildings or projects and the e-commerce company is taking on new space. He said e-commerce companies overall have been leasing new space to compete with Amazon’s sprawling network.
Employees at an Amazon warehouse near Albany overwhelmingly rejected a unionization effort on Tuesday, delivering a blow to an upstart labor union seeking to organize workers at the retail giant. Officials said 949 workers at the ALB1 warehouse were eligible to vote on whether they should become part of the Amazon Labor Union. ALU’s victory at JFK8 was a watershed moment for the labor movement, establishing the first unionized Amazon warehouse in the U.S. Workers at an Amazon warehouse in Southern California last week filed a union petition with the hopes of joining the ALU. Amazon workers at facilities in California, Illinois and Georgia recently held walkouts, in time for Amazon’s fall Prime Day discount event, to urge the company to respond to employee concerns around working conditions.
Billionaire philanthropist MacKenzie Scott has donated $84.5 million to the Girl Scouts, the organization said Tuesday. The gift from Scott, 52, who was previously married to Amazon founder Jeff Bezos, marks the largest-ever single donation in the organization's history, the group said. Scott's gift will go to Girl Scouts of the USA and 29 local councils that Scott selected, according to a news release from the organization. The organization claims its famous annual cookie sale is “the largest girl-led business in the world,” with Girl Scouts selling nearly $800 million worth of cookies each season. Scott filed for divorce last month from her second husband, former teacher Daniel Jewett, whom she married in 2021.
CNN —Amazon workers in upstate New York have voted against forming a union, dealing another blow to a grassroots labor group attempting to organize several of the tech giant’s US warehouses. Workers at the facility, called ALB1, were seeking to organize with the Amazon Labor Union, the same grassroots worker group that successfully formed the first-ever union at a US Amazon facility in Staten Island, New York, earlier this year. The Albany vote was the ALU’s third attempt to unionize an Amazon warehouse, after it fell short of securing a union win at a smaller Amazon facility also located in Staten Island. It also comes as Amazon has still not formally recognized the union in Staten Island or come to the bargaining table. But ahead of the Albany vote last week, Smalls appeared to play down the ramifications of the outcome, suggesting the organizing activity itself is a victory.
New this weekThis week, luxury fragrance brand Le Labor partnered with the Met Museum on a limited-edition candle, makeup brand Sheglam has a new Tim Burton-inspired brand, and Teva launched a new hiking boot. Just in time for Halloween, beauty brand Sheglam has debuted a “Corpse Bride”-themed makeup collection that mimics the color palette of the animated dark fantasy film by Tim Burton. The whole collection is $44, comes packaged in a decorative box and is available for purchase at Sheglam. Cult-favorite fragrance brand Le Labo has partnered with the Metropolitan Museum of Art on a new, limited-edition scented candle. What we bought this weekAmazon’s Prime Early Access sale this week brought deals across product categories, like fitness, tech and wellness.
The problem with ‘Black trauma porn’“Black trauma porn” – much like “disaster porn” or “poverty porn” – generally refers to graphic depictions of violence against Black people that are intended to elicit strong emotional responses. The implication is that these images can be needlessly traumatizing to Black viewers for whom violence is an inescapable fact of life. “There’s a difference between telling a story of Black trauma and telling a story that is ‘Black trauma porn.’”How Till avoids the trap of ‘trauma porn’What, then, is the line between a story of Black trauma and “Black trauma porn?”For Young, the distinguishing factor is context. Put bluntly, is that depiction of Black trauma intended to appeal to the sympathies of White people? It’s notable that many of the recent projects deemed to be “Black trauma porn” have been the work of Black creatives – an obvious reminder that Black people are not a monolith.
While that’s good news for Twitter’s long-suffering shareholders, Tesla investors hope he still has some time for them. There are big challenges in China as well, with Tesla going up against homegrown EV rivals like Nio (NIO), Xpeng and Li Auto. Too many distractionsGary Black, managing partner at the Future Fund and a Tesla shareholder, has been tweeting for the past few weeks that concerns about Twitter are a headache for Tesla investors. In one tweet, Black said there are several problems for Tesla due to Twitter. The underwhelming deliveries and production numbers also underscore how a slowing global economy (and possible recession) could hurt Tesla.
The companies said Kroger agreed to buy Albertsons for $34.10 a share in a deal valued at $24.6 billion. The tie-up comes during a challenging time in the grocery industry. The grocery industry is highly fragmented. Albertsons’ share was about 5%. Consolidation in the grocery industry has not historically paid off in the form of higher profits, he said.
It also would create a big player in so-called retail media, one of advertising’s fastest-growing sectors. Kroger and Albertsons entered the retail advertising market in 2015 and 2021, respectively. Kroger and Albertsons don’t break out the ad revenue generated by their Kroger Precision Marketing and Albertsons Media Collective divisions. The merger of Kroger and Albertsons would create a fourth market leader at more than 13% market share, Mr. Lipsman said. For marketers, that would help simplify the retail ad market for consumer-goods brands and other advertisers who currently confront a rapidly increasing number of offerings.
CNN —Tapping into the twin markets of A) lovers of rom-coms and B) recovering English majors, “Rosaline” promotes a fleetingly mentioned “Romeo and Juliet” character front and center, then builds a very clever and breezy movie around her. The result is a welcome starring showcase for Kaitlyn Dever more likely to prosper in the hamlet of Hulu than it would have fared in the province of theaters. For those a little rusty on their Shakespeare, Romeo had actually been pining for Juliet’s cousin before they met and set in motion that whole star-crossed lovers thing. When their get-together prevents her from attending a party, the feckless Romeo falls for the visiting Juliet (Isabela Merced). “Rosaline” premieres October 14 on Hulu in the US, Star+ in Latin America and Disney+ in other territories.
Editor’s Note: The following contains spoilers about “The Lord of the Rings: The Rings of Power” season finale. CNN —“The Lord of the Rings: The Rings of Power” has ended its first season, with plans for several more to come. Yet the real battle for Amazon could be convincing everyone that its very expensive – and mostly underwhelming – gamble on J.R.R. Amazon founder Jeff Bezos was personally involved in acquiring rights from the Tolkien estate way back in 2017, reflecting the company’s high-stakes bet. It’s become popular to refer to certain large corporations as being “Too big to fail,” and in TV terms, “Rings of Power” is about as big as they come.
The ‘Prime Early Access Sale’ appears to have fallen short of the Prime Day sales events typically held in summer, analysts said. Amazon Inc.’s latest Prime Day-like event appears to have fallen short of the company’s normal summer sales bonanzas. Analysts said Amazon’s 48-hour “Prime Early Access Sale,” which occurred on Tuesday and Wednesday, didn’t give the e-commerce company the same revenue boost, or attract as much social-media buzz, as prior Prime Days. This was Amazon’s second such shopping event this year. The previous one was in July.
Prime Early Access Sale: The best dealsBelow, we’re sharing the best deals from the Prime Early Access Sale based on our previous coverage and reporting. 4.7-star average rating from 2,378 reviews on AmazonThis indoor gardening system allows you to grow herbs indoors year round. 4.6-star average rating from 72,050 reviews on AmazonThe Keurig K-Mini is one of our favorite single-serve coffee makers. Prime Early Access Sale: The best sales on AmazonHere are the best Prime Day sales on Amazon right now that we think you’ll want to know about. Prime Early Access Sale: The best sales at other retailersIn addition to Amazon, the following retailers are offering Prime Day sales we recommend.
Amazon’s fall Prime Day event — called Prime Early Access Sale — with sitewide savings for Prime members on everything from skin care and pet products to tech and fitness equipment, ends today. The Series 8 Apple Watch is also on sale for Amazon’s fall Prime Day. The Prime Early Access Sale is similar to Prime Day (the sale started by Amazon in 2015), but this October event kicked off early holiday shopping. As with July’s Prime Day, other retailers like Target, Walmart and Wayfair are now hosting their own early pre-Black Friday counter sales. The Prime sale ends today, so make sure to keep up with our continual coverage of the Prime Early Access Sale, aka “October Prime Day” — we will be highlighting lightning deals and sharing some of our favorite deals throughout the day.
For the first time in Prime Day’s history, Amazon is hosting two Prime Day-like events in the same year. Prime Early Access Sale: The best dealsBelow, we’re sharing the best deals from the Prime Early Access Sale based on our previous coverage and reporting. 4.7-star average rating from 2,378 reviews on AmazonThis indoor gardening system allows you to grow herbs indoors year round. Prime Early Access Sale: The best sales on AmazonHere are the best Prime Day sales on Amazon right now that we think you’ll want to know about. Prime Early Access Sale: The best sales at other retailersIn addition to Amazon, the following retailers are offering Prime Day sales we recommend.
Amazon’s second Prime Day-like sale this year is now on — for the first time in Prime Day history. Prime Early Access Sale: The best deals on products at their lowest price everBelow, we’re sharing the best products — based on our previous coverage and reporting — that are at their lowest price ever during the Early Access Prime Sale. 4.7-star average rating from 522,925 reviews on AmazonAmazon's smart plug is designed to be compact so it won't block a second wall outlet, the brand says. It has a 5,000mAh battery that, according to the brand, should last for more than a day on a single charge. 4.4-star average rating from 618 reviews on AmazonUnlike razors that only trim hair at the skin’s surface, epilators remove hair from the roots.
Best Holiday Hosting Deals to Shop During October Prime Day
  + stars: | 2022-10-12 | by ( ) www.wsj.com   time to read: +6 min
In the past, the 10-piece set has cost up to $1,110, and the current price, $350, is the lowest we’ve seen. The Prime Day price is close to the lowest we’ve seen. If you buy it during the Prime Sale, you’ll save about $100 from its price last week. During Amazon’s Prime sale, you can save big—the appliance, which typically costs $500, is a mere $315. It’s typically priced around $20 and for the Prime sale, only $16.
Mr. Gooden most recently led the finances of the unit behind Alexa, Amazon’s virtual assistant, and Echo, which sells the online retailer’s smart-speaker products. At Squarespace, Mr. Gooden is set to succeed Marcela Martin, who held the CFO role from November 2020 until July of this year. Photo: Squarespace Inc.Liz Coddington, the former vice president of finance for Amazon Web Services, in June joined exercise equipment company Peloton Interactive Inc. as CFO. Squarespace declined to make Mr. Gooden available for an interview, nor did he immediately respond to a request for comment via LinkedIn. Prior to joining Amazon, Mr. Gooden held CFO roles at companies such as payments firm SpacePointe and defunct commerce platform Solavei LLC.
The Best Amazon Prime Day Deals 2022: Shop Halo, OXO, Bose and More
  + stars: | 2022-10-12 | by ( ) www.wsj.com   time to read: +7 min
It’s within a few dollar of its lowest price ever during this Prime sale. Normally $350, you can pick it up for $280 through the end of this Prime sale. The black and rose quartz versions of the best high-end electric toothbrush is down to its lowest price of the year. Unlike our top pick heating pad from Pure Enrichment below, Huggaroo’s Original Microwavable Heating Pad doesn’t plug into the wall; instead, you put it in the microwave to heat it up. We found Pure Enrichment’s Pure Relief XL Heating Pad to be the best overall heating pad after testing a dozen of them.
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